CITY COUNCIL: Resolution in Support for Local Taxpayer, Public Safety & Transportation Protection Act Ballot Measure

Meeting Date: 2 March 2010
Prepared by: Rich Guillen, City Administrator

City Council
Agenda Item Summary

Name: Consideration of a Resolution of support for the Local Taxpayer, Public Safety, and Transportation Protection Act ballot measure for November 2010.

Description: A coalition, calling itself Californians to Protect Local Taxpayers and Vital Services, is collecting signatures to qualify the Local Taxpayer, Public Safety and Transportation Protection Act for the November 2010 statewide ballot. If passed, proponents say this constitutional amendment would prevent the state from diverting, borrowing or taking funds that are currently dedicated to local governments. The measure also would prevent the state from diverting gas tax revenues that voters have dedicated to transportation and transit improvements and services.

Among the major provisions of the constitutional amendment are:
• Revokes the state’s ability to borrow local government property tax funds currently authorized by 2004 Prop 1A and from borrowing Prop. 42 gas tax funds dedicated to transportation and mass transit.

• Prohibits the state from taking/borrowing Highway User Tax gasoline (HUTA) funds for city, county and state road, highway, transit and other transportation improvements and services.

• Prevents the state from redirecting/diverting locally levied taxes, including parcel taxes, sales taxes, utility user taxes, TOT and other taxes passed by local governments.

• Prohibits the state from taking/borrowing/redirecting existing funding for public transit, including existing taxes on gas and “spillover” funds dedicated to the Public Transportation Account.

• Adds additional constitutional protections to prevent the state from raiding redevelopment funds or shifting redevelopment funds to other state purposes.

In order to qualify for the November 2010 election, a minimum of 694,354 valid signatures must be gathered by mid-April.

Fiscal Impact: The measure only protects existing revenues already dedicated to local governments, and transportation and transit services. It does not dedicate new revenues to local governments or transportation/transit.

Staff Recommendation: Approve the Resolution.

Important Considerations: The League of California Cities, the California Alliance for Jobs and the California Transit Association all support this measure, as do numerous local governments, labor, business, public safety, transportation and public transit organizations.

Decision Record: None

Reviewed by:

___________________________ _____________________
Rich Guillen, City Administrator Date

CITY COUNCIL
CITY OF CARMEL-BY-THE-SEA
RESOLUTION 2010-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARMEL-BY-THE-SEA OF SUPPORT FOR THE LOCAL TAXPAYER, PUBLIC SAFETY, AND TRANSPORTATION PROTECTION ACT BALLOT MEASURE FOR NOVEMBER 2010

WHEREAS, California voters have repeatedly and overwhelmingly passed separate ballot measures to stop State raids of local government funds, and to dedicate the taxes on gasoline to fund transportation improvement projects; and

WHEREAS, these local government funds are critical to provide the police and fire, emergency response, parks, libraries, and other vital local services that residents rely upon every day, and gas tax funds are vital to maintain and improve local streets and roads, to make road safety improvements, relieve traffic congestion, and provide mass transit; and

WHEREAS, despite the fact that voters have repeatedly passed measures to prevent the State from taking these revenues dedicated to funding local government services and transportation improvement projects, the State Legislature has seized and borrowed billions of dollars in local government and transportation funds in the past few years; and

WHEREAS, this year’s borrowing and raids of local government, redevelopment and transit funds, as well as previous, ongoing raids of local government and transportation funds, have lead to severe consequences, such as layoffs of police, fire and paramedic first responders, fire station closures, stalled economic development, healthcare cutbacks, delays in road safety improvements, public transit fare increases and cutbacks in public transit services; and

WHEREAS, State politicians in Sacramento have continued to ignore the will of the voters, and current law provides no penalties when state politicians take or borrow these dedicated funds; and

WHEREAS, a coalition of local government, transportation and transit advocates recently filed a constitutional amendment with the California Attorney General, called the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010, for potential placement on California’s November 2010 statewide ballot; and

WHEREAS, approval of this ballot initiative would close loopholes and change the Constitution to further prevent State politicians in Sacramento from seizing, diverting, shifting, borrowing, transferring, suspending or otherwise taking or interfering with tax revenues dedicated to funding local government services, including redevelopment, or dedicated to transportation improvement projects and mass transit.

THEREFORE, BE IT RESOLVED that the City Council of the City of Carmel-by-the-Sea formally endorses the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010, a proposed constitutional amendment.

BE IT FURTHER RESOLVED that we hereby authorize the listing of the City of Carmel-by-the-Sea in support of the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010 and instruct staff to fax a copy of this resolution to campaign offices at (916) 442-3510.

PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF CARMEL-BY-THE-SEA on this 2nd day of March 2010 by the following roll call vote:

AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:

SIGNED:

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SUE McCLOUD, MAYOR

ATTEST:

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Heidi Burch, City Clerk